Frisbee
2023-02-26

"Buy the rumor, sell the news is stock market folklore for a reason.

Stocks can potentially experience big price spikes based on speculation and rumors. Often, these hype-fueled spikes outweigh the reaction to actual news.

It doesn’t make sense at first. But a lot of things in the stock market don’t make sense until you study, learn, and start to understand how trading really works.

The stock market is forward-thinking. Most people are trying to anticipate what will happen in the future. I like to study the past and look for patterns. That helps me find ‘buy the rumor, sell the news’ plays that I can get in on and ride the wave of anticipation and hopefully generate profits.

@MillionaireTiger @Tiger_chat 

"Buy the Rumor, Sell the News": A Good Trading Strategy or Not?
"Buy the rumor, sell the news" refers to a trading strategy where a trader buys a security based on speculation about an upcoming news announcement or data, and then sells the security once the news is made public.
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